Does a supermarket chain abuse its dominant position by impeding competitors form purchasing plots of land to build supermarkets ?
According to the Italian Competition Authority (ICA), this may be so. Following a complaint filed by a supermarket chain, Esselunga, th e Italian Competition Authority (ICA) has opened investigations into two foreclosing conducts affecting retail markets . In the first case (A437) the ICA considered the conduct carried out by UniCoop Tirreno (UCT). UCT has a dominant position in the market for supermarkets and hypermarkets in the Tuscany province of Livorno. Here there exists high entry barriers due to the dearth of land available for the construction of shopping centers. A further entry barrier is the need for an obtain an authorization from the public administration before taking up commercial activities. The Municipality of Livorno had awarded a developer an authorization to build a supermarket. Esselunga offered to buy the piece of land where the construction of the supermarket was authorized. Yet the developer sold the land to UCT, though its offer was lower than that submitt